Reuters in 2004: Fast Forward and Beyond

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Glocer who took over the mantle from his predecessor, Sir Peter Job, in December 2000 was the first American and the first non-journalist to head Reuters. Glocer embarked on a major restructuring initiative. Recurring revenues made up 90 percent of Reuters' core sales and came largely from financial institutions, which paid monthly subscriptions to receive Reuters' news and data. Banks and brokerages were canceling subscriptions as they slashed costs to cope with the biggest slump in the stock markets for a generation. Investment banks alone, which contributed almost a third of core revenues, had eliminated about 100,000 jobs during 2001 and 2002...

Glocer had taken charge of a company that had pioneered the dissemination of financial news in the mid-19th century by telegraph, rail, and even carrier pigeons. But the Internet meltdown and the subsequent downturn in the global economy had exposed serious structural weaknesses within Reuters. With bloated costs, Reuters, which had made $1.2 billion in pretax profits in 2000 and whose stock once traded at $46, headed deep into the red by 2003...

Exhibit I: Reuters Group - Financial Summary
Exhibit II: Reuters Global Sales (2002)
Exhibit III: Reuters Segment Wise Sales (2002)
Exhibit IV: Reuters - Business Segments
Exhibit V: Financial Data Services Market Players, 2002
Exhibit VI: Reuters under Glocer
Exhibit VII: Glocer's Game Plan
Exhibit VIII: Reuters - Revenues/Costs
Exhibit IX: Reuters: Revenue Analysis-Three months to 31 March 2003
Exhibit X: Reuters - Key Financials [Year Ending 2002]

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